CH 12 - Statutes Governing

Question 1

BICs, any change of office name, address, email, etc. must notify commission within ____ days

Answer 1

10 days

Question 2

a licensee may only receive compensation from ____

Answer 2

their broker-in-charge

Question 3

compensation for real estate transactions always go to ________

Answer 3

the broker-in-charge

Question 4

records may be maintained electronically as long as what occurs?

Answer 4

a backup is kept off-site / cloud

Question 5

a licensee shall __________ upon first substantive contact in a personal transaction

Answer 5

reveal his license status

Question 6

a licensee shall include WHAT in any contract for purchase, sale, exchange, rental, lease of a personal property

Answer 6

dlsclosure of his license status in BOLD, UNDERLINED, CAPITAL LETTERS on the first page of a contract

Question 7

upon obtaining a written acceptance of an offer, what should a licensee do?

Answer 7

promptly deliver true, executed copies to all parties

Question 8

if there are no clients involved in a transaction, a transaction broker must complete a ______________

Answer 8

compensation agreement to be signed by the agent and the compensating party

Question 9

trust funds received for a licensee’s personal rental or transaction must be deposited into _________

Answer 9

the licensee’s personal trust account

Question 10

if an offer is rejected without counter, what must happen?

Answer 10

an offer rejection form, signed by the listing licensee, must be provided to the offeror by the licensee

Question 11

in order for a brokerage firm to claim a fee for the sale of a listed property to an associated licensee, what must happen?

Answer 11

a written agreement signed by the seller client must acknowledge the purchaser as a licensee with the brokerage and recognize the right of the seller not to pay the fee.

Question 12

management agreements can only contain an automatic renewal clause if ____________-

Answer 12

the agreement also contains a clause allowing either party to cancel for any or no cause with 30 days notice, after the original expiration date.

Question 13

TEAM NAMES may not include what terms and why?

Answer 13

“realty”, “real estate”, “realtors”, or similar terms suggesting a brokerage

Question 14

What should be boldly and conspicuously listed on any advertising?

Answer 14

the brokerage firm name

Question 15

True or False: a real estate team may act as disclosed dual agents as well as designated agents.

Answer 15

False. A team can ONLY act as Disclosed Dual Agents

Question 16

True or False: Action may be instituted against a real estate licensee by a customer for information contained in a property condition disclosure form if the licensee is a signatory to that report.

Answer 16

True

Question 17

Is it OK for a seller to offer incentives that would create a desire for the buyer to use his/her recommended service providers?

Answer 17

Yes

Question 18

True/False: A resident licensee may pay a part of his/her commission to a licensee of another state if that licensee doesn’t conduct any negotiations for which a fee is paid in this state.

Answer 18

True

Question 19

Must you give confidentiality to a customer?

Answer 19

No

Question 20

Is it ok for a licensee to directly contact the buyer client of another licensee as long as it is done with knowledge/permission of the buyer’s agent?

Answer 20

Yes

Question 21

True or False: Conducting an open house requires a real estate license.

Answer 21

True

Question 22

When a BIC’s license is suspended for two years, what happens to his associate brokers and salespeople?

Answer 22

Their licenses must be returned to the SC Real Estate Commission

Question 23

Under SC law, would taking a property management course make a licensee exempt from CE requirements?

Answer 23

yes

Question 24

Does an auctioneer need to be licensed?

Answer 24

yes

Question 25

A BIC fails to renew her license by June 30 but continues to engage in real estate transactions, what’s the possible penalty?

Answer 25

$500 or 6 months in prison

Question 26

A licensee’s compensation MUST come from whom?

Answer 26

their BIC

Question 27

If the BIC becomes incapacitated, what will the real estate commission likely do?

Answer 27

appoint someone as BIC for up to six months

Question 28

In order for a brokerage firm to collect a fee for the sale of a listed property to one of its own licensees, what is needed?

Answer 28

a separate written agreement must (1) acknowledge the purchaser as a licensee affiliated with the brokerage and (2) recognize the right of the seller not to pay the brokerage fee.